http://www.ondemandsoftware.com

BONITA SPRINGS, FL, JULY 18, 2002 - (http://www.ondemandsoftware.com) OnDemand Software, Inc., the pioneers and creators of WinINSTALL, the leading software distribution product for over ten years has launched a worldwide channel sales and marketing effort. 100% of all sales will be fulfilled through a worldwide network of distributors and resellers that include national, catalog, global, and regional value added partners. WinINSTALL currently enjoys a worldwide channel of hundreds of resellers and will engage in an effort to increase the number of worldwide resellers significantly over the next quarter.

“We recognize the benefits that the channel brings to gaining market share and increasing revenue,” says Jack Palmer, OnDemand Software CEO. Palmer adds, “We are consciously pushing all of our sales through the channel and will eliminate any channel conflict right from the start.” Later today OnDemand Software will conduct a webcast for all channel partners outlining the new WinINSTALL reseller program and the highlights of the volume licensing model. Registration for the live webcast is available at www.ondemandsoftware.com or by calling OnDemand toll free at (866) 495-0541.

Additional benefits of the new WinINSTALL reseller program include a solid commitment to building aggressive cooperative marketing programs, a substantial discount for the in-house use of WinINSTALL, a dedicated channel business development manager to assist with programs and licensing, free expert level white papers and literature and an aggressive lead referral program that will push all end user product request transactions directly through the worldwide channel.

OnDemand is currently working on new distribution agreements with partners in North America, the United Kingdom, Denmark, Germany, Switzerland, Hong Kong and Australia. During the transition all resellers may place customer orders for the award winning WinINSTALL directly with OnDemand by calling 866-495-0541. OnDemand is reporting a phenomenal response from the WinINSTALL customer base and great demand for new orders. “We are excited about the anticipation and momentum built with these major resellers for the re-launch of On Demand’s software distribution innovation," said Palmer. "WinINSTALL has received an overwhelmingly positive response by Information Technology professionals as the solution for making software distribution as easy as A, B, C." "We are well on our way in re-establishing OnDemand Software as a leading brand name in the software distribution and change management marketplace."

About the WinINSTALL™ Product Family

WinINSTALL is used by over 5,000 companies worldwide and currently supports millions of corporate desktops. A light version of WinINSTALL was selected by Microsoft as the re-packager for Windows 2000 and has been integrated with many of the leading network management platforms such as Microsoft SMS, CA Unicenter, and IBM Tivoli. It is one of the only client change management products that looks at software distribution from not just a packager and installation deployment concept, but from the management of how to build software installation packages and patches, how to install them and how to manage the success or failure of those installations once the change has taken place at the desktop. All of these functions take place from a single console, something not found in any other product today. “Exciting new features for WinINSTALL are under development that will continue to help IT professionals solve the problems that they face when introducing change to networked desktops while providing a huge return on investment and a reduced total cost of ownership associated with maintaining corporate desktops,” says Mel Raff, OnDemand Software Chairman. “This is an exciting market and an exciting time to continue to build products that are so needed,” says Raff.

More information on the WinINSTALL product family and OnDemand Software, Inc. can be found at www.ondemandsoftware.com or by calling 866/495-0541. Resellers may receive information on reseller programs and pricing by calling 866/495-0541 or e-mail sales@ondemandsoftware.com.

About OnDemand Software, Inc.

OnDemand is a pioneer and a leading provider of software distribution solutions, for small-medium and enterprise IT environments. OnDemand’s WinINSTALL product family, based on the company’s Discover Snapshot™ technology, is used to institute and maintain desktop standards, automating the installation of operating systems, content and application load sets to networked and remote PCs. OnDemand customers – small, medium and enterprise IT environments – report a substantial return on investment (ROI) and a reduction in the total Cost of Ownership (TCO). OnDemand is committed to continuing the WinINSTALL product family’s leadership role in the software distribution and change management market. Over 5000 companies worldwide, supporting millions of desktops use the WinINSTALL product. For more information on OnDemand, please see www.ondemandsoftware.com or call Paul Pieske at 866-495-0541.